How Do Car Recalls Work?

What Do You Need To Know About GM's Giant Car Recall?

How Is The Car Fixed?

Vehicles are usually sent for repair. The Official Safety Recall Notice outlines what repairs need to be done and lists the specific dealers who will do the work. Though not standard procedure, some victims of car recalls have been known to receive courtesy cars while their car is in the shop.

Does The Owner Of The Car Have To Pay To Have The Car Repaired?

In most cases, repairs are done free of charge. Since the manufacturer (forced by the government or not) concedes that there was a defect in its vehicle, they take full financial responsibility for the repair work.

How Long Will The Recall Process Take?

Manufacturers are given 60 days to attend to owners' needs after a defect is announced. This time is monitored not from the day the recall is announced, but from the date written on the Official Safety Recall Notice. This means that the first ones to notice the problem may not benefit by bringing their cars in early. Automakers are known to take their time with recalls, so it's wise to leave your car in the driveway and wait for the letter to arrive. Of course, the length of the process also depends on the time of recall. If the problem is faulty belt buckles, you won't have to wait too long. On the other hand, major electronic, transmission or engine defects can take the full 60 days to repair.

Are Repairs The Only Option?

Though repairs are the most common way to fix a defect, a manufacturer may replace or refund a vehicle if the problem is severe enough and would take too much time or cost too much to fix. Drivers may receive an identical or similar model with all the necessary repairs as well. When this isn't possible, car makers may opt to refund the purchase price, minus a depreciation amount. Defective tires or electronics may also be refunded.

Are All Cars Eligible For A Recall?

Like any other government system, there are rules pertaining to car recalls. If you own a vehicle that is more than eight years old, it cannot be recalled. However, remember that the problem still exists and should be remedied — you'll just have to pay for it yourself.

Note that there's another limitation to the recall rule: If a manufacturer challenges the government's demand for a recall in court, drivers cannot attend to their car's needs until the case is finished. Since these procedures can take years, owners often have to pay for the repairs on their own. If this should happen to you, remember to keep all your receipts because, if the NHTSA wins the case, you may be entitled to a reimbursement.

But will you be compensated if your car is in an accident before the recall is issued?